Thought Clothing is understood to have fallen into administration after it failed to find a buyer for the company, leaving around 20 of its employees redundant.
The sustainable brand will reportedly continue trading, according to Drapers which initially reported on the news, but all employees in non-trading roles have been made redundant.
Several independents that work with Thought Clothing told the media outlet that they had received emails from the company warning of “an impending administration”, noting that they believed it would be bought but the future was uncertain.
The news was then confirmed to Drapers by Thought’s co-founder and owner John Snare, who said in a statement: "Despite our best efforts to secure the business, options became increasingly limited taking account of the current uncertain economic environment.
“Thought is continuing to trade while the joint administrators seek to sell the business and assets; several significant parties have already expressed interest in acquiring the business and assets.
"Finally, [co-founder and owner] Rachel [Snare] and I wish to express our eternal gratitude to all our customers, team and partners who have supported us over so many years.”
Thought, which was founded in 2002 and was formerly named Braintree Clothing, is currently stocked by around 20 UK independents, as well as Sainsbury’s, where it had just been announced as one of the third-party brands joining the supermarket’s in-store fashion hub.